Kmart Corporation announced that the over-the-counter bulletin board (the "OTCBB") has assigned the new ticker symbols "KMRTQ" to its common stock and "KMTPQ" to the trust preferred securities of Kmart Corporation's subsidiary, Kmart Financing I. Effective today, the common stock and the trust preferred securities will be quoted on the Pink Sheets Electronic Quotation Service; information regarding such service is available at www.pinksheets.com . The OTCBB has indicated that quotation of the common stock and the trust preferred securities on the OTCBB will be delayed in light of the Company's previously announced restatement of its financial statements. The Company expects such securities to be eligible for quotation on the OTCBB no later than completion of the restatement.
As previously announced, the New York Stock Exchange has indicated that it will suspend trading of Kmart's common stock and the trust convertible preferred securities effective today, and that it has initiated proceedings to delist the securities.
Kmart Corporation is a mass merchandising company that serves America with more than 1,800 Kmart and Kmart SuperCenter retail outlets. Kmart in 2001 had sales of $36 billion.
Cautionary Statement Regarding Forward-Looking Information
Statements made by Kmart which address activities, events or developments that we expect or anticipate may occur in the future are forward-looking statements. Such forward-looking statements are and will be, as the case may be, subject to many risks and uncertainties, including, but not limited to, Kmart's having filed for bankruptcy and factors relating to Kmart's operations and the business environment in which Kmart operates, which may cause the actual results of Kmart to be materially different from any future results expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements include those set forth in Kmart's Annual Report on Form 10-K for the fiscal year ended January 30, 2002, Kmart's Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2002 or in other filings made, from time to time, by Kmart with the Securities and Exchange Commission (the "Company Filings"). The forward-looking statements speak only as of the date when made and Kmart does not undertake to update such statements.
Similarly, these and other factors set forth in the Company Filings, including the terms of any reorganization plan ultimately confirmed, can affect the value of our various pre-petition liabilities, common stock and/or other equity securities. No assurance can be given as to what values, if any, will be ascribed in the bankruptcy proceedings to each of these constituencies.
A plan of reorganization could result in holders of Kmart common stock receiving no distribution on account of their interest and cancellation of their interests. Holders of Kmart common stock should assume that they could receive little or no value as part of a plan of reorganization. In light of the foregoing, the Company considers the value of the common stock to be highly speculative and cautions equity holders that the stock may ultimately be determined to have no value.
Accordingly, we urge that appropriate caution be exercised with respect to existing and future investments in Kmart common stock or in any claims for pre-petition liabilities and/or other Kmart securities.
SOURCE: Kmart Corporation
CONTACT: Kmart Media Relations, +1-248-463-1021
Web site: http://www.pinksheets.com/
Web site: http://www.kmart.com/